BMW boldly intensifying its focus on EVs

Amidst a trend of automakers scaling back their electric vehicle (EV) plans, BMW is boldly intensifying its focus on electric mobility.

BMW’s CFO, Walter Mertl, recently declared a pivotal moment for combustion engines, stating that the tipping point occurred last year. With fossil fuel vehicle sales plateauing and anticipating a gradual decline, the German automaker envisions growth primarily coming from electric vehicles. In 2021, BMW achieved a record sales figure of 2.5 million vehicles, with 15% being all-electric. This year, the company aims to sell 500,000 EVs, marking a 33% increase from the previous year.

This decisive commitment to EVs contrasts with BMW’s earlier approach of hedging its bets. The company had developed a versatile vehicle architecture called CLAR, designed to accommodate internal combustion engines, plug-in hybrids, and full electric powertrains on the same production line. Uncertain about the market direction, BMW attempted to cover various possibilities with a single platform.

However, the execution of this strategy proved challenging, as evidenced by the delayed release of the i4, the first EV built on the CLAR platform, which took seven years to materialize. The i4, while showcasing strengths, revealed compromises in its design, such as an empty tunnel meant for the driveshaft in fossil fuel models and underutilized space under the hood. This departure from conventional practices, where automakers optimize frame utilization for cost and weight efficiency, highlighted the challenges faced by BMW in adapting its platform for diverse powertrains.